Approval and Promulgation of Air Quality Implementation Plans; Pennsylvania; Redesignation Request, Maintenance Plan, and Emissions Inventory for the Reading Ozone Nonattainment Area; Policy Change for Ozone Redesignations

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[PA036-4016, PA036-4017; FRL-5633-6]

Approval and Promulgation of Air Quality Implementation Plans;

Pennsylvania; Redesignation Request, Maintenance Plan, and Emissions

Inventory for the Reading Ozone Nonattainment Area; Policy Change for

Ozone Redesignations

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: EPA is proposing to approve a redesignation request for the

Reading ozone nonattainment area, and State Implementation Plan (SIP)

revisions submitted by the Commonwealth of Pennsylvania, contingent

upon Pennsylvania's correction of all deficiencies contained in the

request and SIP revision. The revisions consist of a maintenance plan

and 1990 base year inventories for the Reading ozone nonattainment

area. EPA is also proposing to disapprove the redesignation request and

SIP revisions for the Reading area, if Pennsylvania does not correct

the deficiencies. In addition, for the purposes of redesignation, EPA

is proposing to approve Pennsylvania's legislative authority to adopt

and implement a vehicle inspection and maintenance program. These

actions are being taken under sections 107 and 110 of the Clean Air

Act. Furthermore, EPA is proposing a change in its policy on

redesignation requirements for ozone nonattainment areas in the Ozone

Transport Region (OTR). The proposed policy change makes redesignation

requirements for areas in the OTR consistent with

[[Page 53175]]

requirements for areas outside the OTR by interpreting meeting the

requirements under section 184 of the Clean Air Act as not being a

prerequisite for the purpose of redesignation. The policy does not

affect duplicate requirements under other sections of the Act.

DATES: Comments must be received on or before November 12, 1996.

ADDRESSES: Comments may be mailed to David L. Arnold, Chief, Ozone/CO &

Mobile Sources Section, Mailcode 3AT21, U.S. Environmental Protection

Agency, Region III, 841 Chestnut Building, Philadelphia, Pennsylvania

19107. Copies of the documents relevant to this action are available

for public inspection during normal business hours at the Air,

Radiation, and Toxics Division, U.S. Environmental Protection Agency,

Region III, 841 Chestnut Building, Philadelphia, Pennsylvania 19107 and

the Pennsylvania Department of Environmental Protection, Bureau of Air

Quality, P.O. Box 8468, 400 Market Street, Harrisburg, Pennsylvania

17105.

FOR FURTHER INFORMATION CONTACT: Maria A. Pino, (215) 566-2181, at the

EPA Region III office address listed above, or via e-mail at

[email protected]. While information may be requested via e-

mail, comments must be submitted in writing to the above Region III

address.

SUPPLEMENTARY INFORMATION: On November 12, 1993, the Commonwealth of

Pennsylvania formally submitted a redesignation request for the Reading

ozone nonattainment area. At the same time, the Commonwealth submitted

a maintenance plan for the Reading area as a SIP revision. The

maintenance plan was subsequently amended on January 13, 1994 and,

again, on May 12, 1995. On November 12, 1992, Pennsylvania submitted

its 1990 base year VOC, NOx, and CO inventories for all areas in the

Commonwealth. On November 12, 1993, Pennsylvania included revisions to

its 1990 base year inventories for the Reading area as part of the SIP

revision submittal, along with the maintenance plan.

Background

The Reading area, which includes Berks County, is designated

nonattainment for ozone and is classified as moderate (56 FR 56694).

Monitored air quality data recorded in the Reading area first met the

ozone National Ambient Air Quality Standard (NAAQS) during the three-

year period 1989-1991, and continues to meet the NAAQS.

On July 19, 1995, EPA published a final rule (1) determining that

the Reading area and the Pittsburgh-Beaver Valley area (the Pittsburgh

area) had attained the ozone standard, and (2) waiving the Clean Air

Act requirements for a 15% plan, an attainment demonstration, and

contingency measures for these areas (60 FR 37015). This action also

lifted sanctions imposed on the areas for failure to submit these

requirements. EPA took this action pursuant to a May 10, 1995 policy

that allows a waiver of these requirements for areas that show, through

air quality monitoring data, that they meet the ozone standard.

Subsequently, a lawsuit was filed against EPA on the application of

this waiver policy.

A settlement agreement between EPA and the petitioners in the

lawsuit (the Delaware Valley Citizens' Council for Clean Air, also

known as the Clean Air Council) was signed on May 20, 1996, and a

notice regarding it was published in the Federal Register on May 29,

1996 (61 FR 26903). By agreement with the petitioners, the Regional

Administrator is to sign a Notice of Proposed Rulemaking on the Reading

redesignation request and maintenance plan by September 30, 1996. In

addition, the Regional Administrator is to sign the Final Rulemaking

Notice by March 3, 1997.

Under section 107(d)(3)(E) of the Clean Air Act (the Act), the

following five criteria must be met for an ozone nonattainment area to

be redesignated to attainment:

1. The area must meet the ozone NAAQS.

2. The area must meet applicable requirements of section 110 and

Part D.

3. The area must have a fully approved SIP under section 110(k) of

the Act.

4. The area must show that its experienced improvement in air

quality is due to permanent and enforceable measures.

5. The area must have a fully approved maintenance plan under

section 175A of the Act, including contingency measures.

Policy Change for Redesignations--Section 184 Requirements

All areas in the Ozone Transport Region (OTR), both attainment and

nonattainment, are subject to additional control requirements under

section 184 for the purpose of reducing interstate transport of

emissions that may contribute to downwind ozone nonattainment. The

section 184 requirements are reasonably available control technology

(RACT) for sources of volatile organic compounds (VOCs) with the

potential to emit 50 tons per year (TPY) or more, RACT for sources of

oxides of Nitrogen (NOX) with the potential to emit 100 TPY or

more, Part D new source review (NSR) for major sources of VOC and

NOX, enhanced vehicle inspection and maintenance

(I/M), Stage II vapor recovery or a comparable measure, and any

measures that are mandated by EPA under section 184(c) based on a

petition by the Ozone Transport Commission (OTC). To date, only the OTC

Low Emission Vehicle program (or acceptable equivalent) has been

required under section 184(c) [60 FR 4712; December 19, 1994].

Some of the section 184 requirements duplicate requirements under

other sections of the Act for certain classifications of nonattainment

areas. For example, as a moderate nonattainment area, Reading is also

subject to VOC RACT under section 182(b)(2) for sources with the

potential to emit 100 TPY or more, Part D NSR for major sources of

NOX and NOX RACT for sources with the potential to emit 100

TPY or more under section 182(f), and Part D NSR for major sources of

VOC under sections 173 and 182(b)(5). Reading is also subject to basic

I/M for moderate areas under section 182(b)(4). The EPA believes that,

for purposes of redesignation, it is appropriate to consider the

section 184 requirements separately from the requirements under other

sections because the express purpose of the section 184 requirements is

different. Section 184 requirements are region-wide requirements

intended for the control of interstate transport of ozone pollution,

whereas the similar moderate area requirements are linked with the

particular nonattainment area designation and classification to address

local air quality problems. These latter requirements for Reading are

discussed below. (See ``Status of Moderate Area Requirements--Sections

173 and 182.'')

Although this redesignation request was submitted after the due

date for several of the section 184 requirements, including NSR for

sources of both VOCs and NOx, RACT for sources of VOCs with the

potential to emit between 50 and 100 TPY, and enhanced I/M, EPA

believes it is reasonable and appropriate to interpret the section 184

requirements as not being applicable requirements for purposes of

evaluating a redesignation request. The rationale is based on two

factors. First, the requirement to submit SIP revisions for the section

184 requirements continues to apply to areas in the OTR after

redesignation to attainment. Therefore, the State remains obligated to

adopt NSR, RACT, and I/M even after redesignation and would risk

sanctions

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for failure to do so. While redesignation of an area to attainment

enables the area to avoid further compliance with the requirements of

section 110 and part D that are linked with an area's nonattainment

status, the section 184 requirements apply to both nonattainment and

maintenance (attainment) areas. Second, the section 184 control

measures are region-wide requirements and do not apply to Reading by

virtue of the area's designation and classification. Rather, the

section 184 measures are required in Reading because Reading is located

in the OTR. The purpose of these measures is not to address air quality

in the designated Reading nonattainment area, but to reduce regional

emissions in the OTR. Where the Act has deemed the same controls needed

as part of a strategy to reduce emissions in certain nonattainment

areas, those control measures are specifically required for those areas

under different sections of the Act. It is these latter requirements

that are linked with a particular nonattainment area's designation and

classification that EPA believes are the relevant measures to evaluate

in reviewing a redesignation request.

Therefore, with this notice, EPA is proposing to modify its policy

regarding the interpretation of section 107(d)(3)(E) concerning the

applicable requirements for purposes of reviewing an ozone

redesignation request. Under this new policy, for the reasons just

discussed, EPA believes that the ozone redesignation requests for areas

in the OTR may be approved notwithstanding the lack of fully approved

section 184 requirements. Based on this interpretation, EPA is

proceeding to propose approval of the Reading redesignation request

despite the lack of SIP approved NSR, enhanced I/M, and RACT for VOC

sources with the potential to emit between 50 and 100 TPY.

Redesignation to attainment will not remove the requirement for

Pennsylvania to adopt and implement all of these section 184 measures

in the Reading area. It should be noted that Pennsylvania has submitted

its NSR and I/M programs for the Reading area. These submittals are the

subject of separate rulemaking actions.

This new policy is consistent with, and an extension of, EPA's

existing redesignation policies regarding conformity and oxygenated

fuels requirements. Transportation and general conformity rules,

required under section 176, apply to both nonattainment and maintenance

areas. Just as with the section 184 requirements, States remain

obligated to adopt and implement conformity rules even after

redesignation to attainment. Primarily for this reason, EPA has

previously interpreted the conformity requirements as not being

applicable requirements for purposes of evaluating redesignation

requests (60 FR 62748; December 7, 1995).

Under section 211(m), oxygenated fuels programs are required in

moderate and serious carbon monoxide nonattainment areas with design

values of 9.5 parts per million (ppm) or greater. The oxygenated fuels

program must be applied throughout a consolidated metropolitan

statistical area (CMSA) or metropolitan statistical area (MSA), even if

the nonattainment area boundaries do not encompass the entire CMSA.

Previously, a situation occurred where several not-classified carbon

monoxide (CO) nonattainment areas were located in the CMSA of a

moderate CO area whose design value triggered the oxygenated fuels

requirement. Therefore, the not-classified areas were required to sell

oxygenated fuels although it was not a requirement linked specifically

with the not-classified areas' designation, classification and design

value. In this case, for purposes of evaluating a redesignation

request, EPA interpreted the oxygenated fuels program as not being an

applicable requirement for the not-classified areas because the State

would still be obligated to adopt and implement the oxygenated fuels

program in the areas after redesignation (due to the continuing

moderate area requirement) and because the areas were only required to

implement an oxygenated fuels program by virtue of their location in

the CMSA of a moderate CO area (60 FR 62741; December 7, 1995).

Status of OTR Requirements--Section 184

RACT: Under section 184, and excluding the requirements of section

182, RACT is required for VOC sources with the potential to emit

between 50 and 100 TPY. On February 4, 1994, Pennsylvania submitted a

``generic'' RACT rule for NOX sources and for VOC sources not

covered by a control techniques guidelines (CTG) document, so-called

non-CTG sources. This rule was effective in the Commonwealth on January

15, 1994. On February 28, 1994, EPA determined that the submittal was

complete. This generic RACT rule does not contain any specific

requirements for VOC sources, and contains only a control technology

requirement for a class of NOX sources and operation and

maintenance requirements for several NOX source categories. All

other VOC and NOX sources are required to submit case-by-case RACT

determinations. Pennsylvania is in the process of submitting the case-

by-case RACT determinations to EPA for approval into the Pennsylvania

SIP.

NSR: On February 4, 1994, Pennsylvania submitted its final NSR

regulations to EPA. On February 28, 1994, EPA determined that the

submittal was complete. That submittal is the subject of a separate

rulemaking action, currently being prepared by EP.

I/M: Under the November 28, 1995 National Highway System

Designation Act, Pennsylvania submitted an OTR low-enhanced program on

March 22, 1996. On September 13, 1996, Regional Administrator W.

Michael McCabe signed a Notice of Proposed Rulemaking, proposing

conditional interim approval of Pennsylvania's enhanced I/M SIP.

EPA's Evaluation of Pennsylvania's Redesignation Request and

Maintenance Plan for the Reading Area

Criterion 1: The area must meet the ozone NAAQS.

EPA's Evaluation: The area has met the ozone standard since 1991,

considering data for the three-year period 1989-1991. The area

continues to meet the ozone standard.

Criterion 2: The area must meet applicable requirements of section

110 and Part D.

EPA's Evaluation: EPA's redesignation policy requires an area to

meet all requirements in section 110 and Part D of the Clean Air Act

that were due prior to the state's submittal of the redesignation

request. Pennsylvania submitted the redesignation request for the

Reading area on 11/12/93. Therefore, all section 110 and Part D

requirements that were due before 11/12/93, other than those required

under sections 176 and 184, are applicable requirements for the

purposes of evaluating the redesignation request for the Reading area.

As explained above, EPA is proposing, in this notice, to modify its

previous policy regarding whether the requirements of section 184 of

the Act are applicable requirements for the purposes of evaluating a

redesignation request.

Status of Moderate Area Requirements--Sections 173 and 182

RACT: Under section 182 RACT is required for sources of VOC and

NOX with the potential to emit 100 TPY or more. As stated above,

Pennsylvania submitted a ``generic'' RACT rule to EPA as a SIP revision

on February 4, 1994. This rule applies to NOX sources and non-CTG

VOC sources. This generic RACT rule does not contain any specific

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emission limitation. All VOC and NOX sources are required to

submit case-by-case RACT proposals to Pennsylvania, which, in turn,

submits its RACT determinations to EPA as SIP revisions. Pennsylvania

is in the process of submitting the case-by-case RACT determinations to

EPA for approval into the Pennsylvania SIP.

In order for the Reading area to meet this criterion, Pennsylvania

must submit complete and approvable RACT determinations for all

applicable sources (all VOC and NOX sources with the potential to

emit 100 TPY or more in the Reading area) to EPA as SIP revisions, and

EPA must approve these RACT determinations into the SIP before, or at

the same time as, EPA completes final rulemaking on the redesignation

request. Pennsylvania is in the process of submitting the required

RACTs to EPA as SIP revisions.

NSR: On February 4, 1994, Pennsylvania submitted its final NSR

regulations to EPA. EPA determined that the submittal was complete on

February 28, 1994, but has not completed rulemaking on the NSR SIP.

However, according to EPA's October 14, 1994 policy memorandum from

Mary D. Nichols, Assistant Administrator for Air and Radiation,

entitled Part D New Source Review (Part D NSR) Requirements for Areas

Requesting Redesignation to Attainment, areas may be redesignated to

attainment without a fully approved part D NSR program, as long as the

area does not rely on NSR for maintenance. The Reading redesignation

request does not rely on NSR for maintenance.

I/M: Under section 182, moderate areas are required to adopt and

implement a basic I/M program. However, according to EPA's September

17, 1993 policy memorandum from Michael H. Shapiro, Assistant

Administrator for Air and Radiation, entitled State Implementation Plan

(SIP) Requirements for Areas Submitting Requests for Redesignation to

Attainment of the Ozone and Carbon Monoxide (CO) National Ambient Air

Quality Standard (NAAQS) on or after November 15, 1992, areas may be

redesignated to attainment without a fully adopted I/M program, as long

as (1) the area does not rely on I/M for maintenance, (2) the area has

legislative authority for a basic I/M program, (3) basic I/M is

included in the maintenance plan as a contingency measure, and (4) the

maintenance plan includes an enforceable schedule and commitment for

adopting a basic I/M program upon a specific and appropriate trigger.

As stated above, Pennsylvania submitted an OTR low-enhanced program

on March 22, 1996, under the National Highway Act. On September 13,

1996, Regional Administrator W. Michael McCabe signed a Notice of

Proposed Rulemaking, proposing conditional interim approval of

Pennsylvania's enhanced I/M SIP. This submittal contains legislative

authority for an OTR low-enhanced I/M program, as well as a schedule

for implementation of the program.

Pursuant to the so called I/M redesignation rule, EPA's January 5,

1995 Federal Register action, Inspection/Maintenance Program

Requirements--Provisions for Redesignation (60 FR 1735), Pennsylvania's

list of contingency measures for the Reading area must include basic I/

M, in the event that the enhanced I/M requirement under section 184 is

not implemented. The contingency plan must also contain a schedule for

implementation of a basic I/M program that complies with 40 CFR

51.372(c)(4). This schedule must be triggered when Pennsylvania chooses

to implement basic I/M as a contingency measure.

Base Year Emission Inventories: On November 12, 1992, Pennsylvania

submitted 1990 VOC, NOX, and carbon monoxide (CO) base year

inventories for all areas in the Commonwealth. With the redesignation

request, Pennsylvania submitted summary updates to its 1990 base year

inventories for the Reading area, which supersede Pennsylvania's 1992

submittal. The 1990 base year emissions summaries included in the

redesignation request are different from those in the 1990 base year

inventories submitted by Pennsylvania on November 12, 1992.

Pennsylvania must submit adequate technical justification to

support the changes in the inventories, including sample calculations

for point, area, and mobile sources, and mobile source emissions

modeling sample runs.

Criterion 3: The area must have a fully approved SIP under section

110(k) of the Act.

EPA's Evaluation: In order to meet this criterion, all applicable

SIP elements must be approved into Pennsylvania's SIP for the Reading

area. All applicable requirements, other than RACT and the 1990 VOC,

NOX, and CO base year inventories, have been approved into the

Pennsylvania SIP.

RACT: As stated above, in EPA's evaluation of criterion 2,

Pennsylvania must submit complete and approvable RACT determinations

for all applicable sources (all NOX and non-CTG VOC sources with

the potential to emit 100 TPY or more in the Reading area) to EPA as

SIP revisions, and EPA must approve these RACT determinations into the

SIP before, or at the same time as, EPA completes final rulemaking on

the redesignation request. As stated above, Pennsylvania is in the

process of submitting RACT SIP revisions for applicable NOX and

VOC sources, and must complete these submissions for final approval of

this redesignation request.

1990 Base Year Emission Inventories: As stated above, in EPA's

evaluation of criterion 2, Pennsylvania must provide adequate technical

justification to support the 1990 VOC, NOX, and CO base year

inventories for Reading, submitted on November 12, 1992, and updated on

November 12, 1993.

Other Moderate Area Requirements: SIP revisions for VOC RACT Fix-

ups, VOC RACT Catch-ups (excluding non-CTG VOC RACT), and emission

statements have been approved into the Pennsylvania SIP. As stated

above, in EPA's evaluation of criterion 2, basic I/M and NSR are no

longer applicable for redesignation purposes. Furthermore, EPA has

previously interpreted the transportation and general conformity

requirements as not being applicable for purposes of evaluating

redesignation requests (60 FR 62748; December 7, 1995). Finally,

because Pennsylvania submitted the Reading redesignation request prior

to the due date for the 15% plan, attainment demonstration, and

contingency measure requirements, these requirements are not applicable

for the purpose of evaluating this redesignation request. Moreover,

pursuant to EPA's May 10, 1995 waiver policy, EPA's July 19, 1995

action (60 FR 37015) waived these requirements for the Reading area.

Criterion 4: The area must show that its experienced improvement in

air quality is due to permanent and enforceable measures.

EPA's Evaluation: The redesignation request has shown that, through

fully adopted and implemented, permanent and enforceable state and

federal measures, the area's air quality has improved.

Criterion 5: The area must have a fully approved maintenance plan

under section 175A of the Act, including contingency measures.

EPA's Evaluation: The submitted maintenance plan has several

deficiencies.

(1) The maintenance plan must show continued maintenance of the

standard for at least ten years after the area is redesignated. To that

end, EPA requires states to include emission inventories in their

maintenance plans for a year that

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is 10 years after the state anticipates EPA will approve their

redesignation request. Furthermore, EPA requires that states project

emissions for an interim year, between the year the area is

redesignated and the end year (10 years after redesignation).

Pennsylvania must project emissions out to at least 2007.

The maintenance plan that Pennsylvania submitted on November 12,

1993, and amended on January 13, 1994 and, again, on May 12, 1995

projects maintenance up to the year 2004, and includes interim year

emission projection for 1996. However, on September 27, 1996,

Pennsylvania supplemented the Reading maintenance plan with preliminary

inventories for 2007. Pennsylvania must submit adequate technical

support to justify these new inventories. Additionally, Pennsylvania

can no longer use 1996 as the interim year, because EPA will not

complete final rulemaking on this redesignation request and maintenance

plan until 1997. However, Pennsylvania can use the 2004 inventories,

which have already been submitted, as the interim year inventories.

(2) More technical support is needed in order for EPA to evaluate

the projected emissions inventories, for 2004 and 2007, submitted with

the maintenance plan. The maintenance plan must show that only credible

measures (fully adopted and SIP approved state measures, and certain

federal measures) are used to demonstrate maintenance. Mobile source

emissions modeling must be provided in order to determine if those

inventories were projected correctly, taking emission reduction credit

only for measures that are fully adopted and approved into the SIP. In

addition, Pennsylvania must provide growth factors (not surrogates),

sample calculations for point, area, and mobile sources.

(3) The contingency measure provided in the maintenance plan is

inadequate. The maintenance plan must provide for contingency measures

to promptly correct any violation of the ozone NAAQS that occurs after

the area is redesignated. The plan must contain a list of measures to

be adopted and a schedule and procedures for adoption and

implementation. The plan must also identify specific triggers used to

determine when the contingency measures need to be implemented.

Pennsylvania is in the process of revising the maintenance plan for the

Reading area to meet this criterion.

EPA's Evaluation of Pennsylvania's 1990 Base Year Inventory for the

Reading Area

On November 12, 1992, Pennsylvania submitted the 1990 base year

inventories for VOC, NOX and CO for all areas in the Commonwealth,

including the Reading area. Pennsylvania amended these inventories for

the Reading area when it submitted its redesignation request and

maintenance plan for the area, on November 12, 1993. However, only

summaries of the updated inventory were submitted with the

redesignation request.

The 1990 base year emissions summaries included in the

redesignation request are different from those in the 1990 base year

inventory submitted by Pennsylvania on November 12, 1992. Pennsylvania

must submit adequate technical justification to support the changes in

the inventories, including sample calculations for point, area, and

mobile sources, and mobile source emissions modeling sample runs.

A more detailed evaluation of Pennsylvania's redesignation request,

maintenance plan, and 1990 base year emission inventories for the

Reading area can be found in the Technical Support Document (TSD)

prepared by EPA for this rulemaking action. The TSD and other materials

related to this action are available for public inspection at the EPA

Regional office listed in the ADDRESSES section of this notice.

EPA is soliciting public comments on the issues discussed in this

notice or on other relevant matters. These comments will be considered

before taking final action. Interested parties may participate in the

Federal rulemaking procedure by submitting written comments to the EPA

Regional office listed in the ADDRESSES section of this notice.

Proposed Action

EPA is proposing to approve Pennsylvania's request for

redesignation of the Reading area, and the accompanying maintenance

plan, which was originally submitted on November 12, 1993, and amended

on January 13, 1994 and May 12, 1995, contingent upon Pennsylvania's

correction of all deficiencies contained in the request and maintenance

plan. EPA is also proposing to approve the 1990 base year VOC,

NOX, and CO inventories for the Reading ozone nonattainment area,

which were originally submitted on November 12, 1992, and revised on

November 12, 1993, contingent upon Pennsylvania's correction of all

deficiencies contained in those inventories. At the same time, EPA is

proposing to disapprove the redesignation request, maintenance plan,

and 1990 base year emission inventories for the Reading area if

Pennsylvania does not correct the deficiencies. In addition, for

purposes of satisfying the I/M redesignation rule of January 1995, EPA

is proposing approval of Pennsylvania's legislative authority to adopt

and implement an I/M program. Finally, EPA is proposing to change its

policy on redesignation requirements for ozone nonattainment areas in

the Ozone Transport Region (OTR). The policy change makes redesignation

requirements for areas in the OTR consistent with requirements for

areas outside the OTR by interpreting requirements under section 184 of

the Clean Air Act as not being applicable for the purpose of

redesignation.

In order to correct the deficiencies that exist in the

redesignation request, maintenance plan, and 1990 base year emission

inventories, Pennsylvania must submit the following to EPA:

(1) Adequate technical support to justify the projected emission

inventories (2007 and 2004), including growth factors (not surrogates),

sample calculations for point, area, and mobile sources, and mobile

source emissions modeling sample runs;

(2) Complete and approvable RACT SIP revisions for all applicable

sources (all VOC and NOX sources with the potential to emit 100

TPY or more in the Reading area);

(3) A declaration that all required RACTs have been submitted;

(4) SIP revisions to the Reading area maintenance plan so that it

provides adequate contingency measures. The plan must contain a list of

measures to be adopted and a schedule and procedures for adoption and

implementation. The plan must also identify specific triggers used to

determine when the contingency measures need to be implemented and a

schedule for implementation of the contingencies in the event that they

are implemented. The list of contingency measures must include basic I/

M, in the event that enhanced I/M requirement under section 184 is not

implemented. The plan must contain a schedule for implementation of a

basic I/M program that complies with 40 CFR 51.372(c)(4). This schedule

will be triggered when Pennsylvania chooses to implement basic I/M as a

contingency measure; and

(5) Technical support to justify the 1990 base year emission

inventories submitted in the redesignation request. This support must

include sample

[[Page 53179]]

calculations for point, area, and mobile sources, a list of all point

sources, and mobile source emissions modeling.

As stated above, the Regional Administrator is to sign a final

rulemaking action on the Reading redesignation request and maintenance

plan by March 3, 1997, according to an agreement between EPA and the

Clean Air Council. The revisions listed above must be submitted to EPA

in enough time for EPA to evaluate their adequacy and, where necessary,

complete separate rulemaking actions on the submittals before March

1997. Therefore, EPA has determined that Pennsylvania needs to submit

the required revisions by February 3, 1997, in time for EPA to take

final action by March 3, 1997.

Pennsylvania is in the process of addressing all of the

deficiencies listed above. EPA believes that Pennsylvania will be able

to meet the February 3, 1997 deadline stated above. In addition, EPA

believes that it will be able to complete rulemaking on Pennsylvania's

submittals, as long as Pennsylvania works closely with EPA to develop

the required revisions.

If EPA were to take final action to disapprove the maintenance

plan, the Reading area will no longer be able to demonstrate conformity

to the submitted maintenance plan pursuant to the transportation

conformity requirements in 40 CFR Part 51, section 51.448(i). Since the

submitted maintenance plan budget will no longer apply for

transportation conformity purposes, the build/no-build and less-than-90

tests will apply.

Nothing in this action should be construed as permitting or

allowing or establishing a precedent for any future request for

revision to any state implementation plan. Each request for revision to

the state implementation plan shall be considered separately in light

of specific technical, economic, and environmental factors and in

relation to relevant statutory and regulatory requirements.

Administrative Requirements

A. Executive Order 12866

This action has been classified as a Table 3 action for signature

by the Regional Administrator under the procedures published in the

Federal Register on January 19, 1989 (54 FR 2214-2225), as revised by a

July 10, 1995 memorandum from Mary Nichols, Assistant Administrator for

Air and Radiation. The Office of Management and Budget (OMB) has

exempted this regulatory action from E.O. 12866 review.

B. Regulatory Flexibility Act

Under the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., EPA

must prepare a regulatory flexibility analysis assessing the impact of

any proposed or final rule on small entities. 5 U.S.C. 603 and 604.

Alternatively, EPA may certify that the rule will not have a

significant impact on a substantial number of small entities. Small

entities include small businesses, small not-for-profit enterprises,

and government entities with jurisdiction over populations of less than

50,000.

SIP approvals under section 110 and subchapter I, part D of the

Clean Air Act do not create any new requirements but simply approve

requirements that the State is already imposing. Therefore, because

this proposed Federal SIP approval does not impose any new

requirements, the Regional Administrator certifies that it does not

have a significant impact on any small entities affected. Moreover, due

to the nature of the Federal-State relationship under the CAA,

preparation of a flexibility analysis would constitute Federal inquiry

into the economic reasonableness of state action. The Clean Air Act

forbids EPA to base its actions concerning SIPs on such grounds. Union

Electric Co. v. U.S. EPA, 427 U.S. 246, 255-66 (1976); 42 U.S.C.

7410(a)(2).

EPA's proposed disapproval of the State request under Section 110

and subchapter I, part D of the CAA does not affect any existing

requirements applicable to small entities. Any pre-existing federal

requirements remain in place after this disapproval. Federal

disapproval of the state submittal does not affect its state-

enforceability. Moreover, EPA's proposed disapproval of the submittal

does not impose any new Federal requirements. Therefore, EPA certifies

that this proposed disapproval action does not have a significant

impact on a substantial number of small entities because it does not

remove existing requirements and impose any new Federal requirements.

Redesignation of an area to attainment under section 107(d)(3)(E)

of the CAA does not impose any new requirements on small entities.

Redesignation is an action that affects the status of a geographical

area and does not impose any regulatory requirements on sources. The

Regional Administrator certifies that, in the event that EPA approves

Pennsylvania's redesignation request for the Reading area, the approval

will not affect a substantial number of small entities.

In the event that EPA denies Pennsylvania's redesignation request

under section 107(d)(3)(E) of the CAA, this denial would not affect any

existing requirements applicable to small entities nor does it impose

new requirements. The area would retain its current designation status

and would continue to be subject to the same statutory requirements. To

the extent that the area must adopt regulations, based on its

nonattainment status, EPA will review the effect of those actions on

small entities at the time the State submits those regulations.

Therefore, the Regional Administrator certifies that the disapproval of

the redesignation request will not affect a substantial number of small

entities.

C. Unfunded Mandates

Under Section 202 of the Unfunded Mandates Reform Act of 1995

(``Unfunded Mandates Act''), signed into law on March 22, 1995, EPA

must prepare a budgetary impact statement to accompany any proposed or

final rule that includes a Federal mandate that may result in estimated

costs to State, local, or tribal governments in the aggregate; or to

private sector, of $100 million or more. Under Section 205, EPA must

select the most cost-effective and least burdensome alternative that

achieves the objectives of the rule and is consistent with statutory

requirements. Section 203 requires EPA to establish a plan for

informing and advising any small governments that may be significantly

or uniquely impacted by the rule.

EPA has determined that this proposed approval action does not

include a Federal mandate that may result in estimated costs of $100

million or more to either State, local, or tribal governments in the

aggregate, or to the private sector. This Federal action proposes to

approve pre-existing requirements under State or local law, and imposes

no new Federal requirements. Accordingly, no additional costs to State,

local, or tribal governments, or to the private sector, result from

this action.

EPA has also determined that the proposed alternative disapproval

action does not include a Federal mandate that may result in estimated

costs of $100 million or more to either State, local, or tribal

governments in the aggregate, or to the private sector. Accordingly, no

additional costs to State, local, or tribal governments, or to the

private sector, result from this action.

The Regional Administrator's decision to approve or disapprove

Pennsylvania's redesignation request for the Reading ozone

nonattainment area, the associated maintenance plan, and the 1990 VOC,

NOx, and CO base year

[[Page 53180]]

inventories for the area will be based on whether they meet the

requirements of section 110(a)(2)(A)-(K) and part D of the Clean Air

Act, as amended, and EPA regulations in 40 CFR Part 51.

List of Subjects in 40 CFR Part 52

Environmental protection, Air pollution control, Carbon Monoxide,

Hydrocarbons, Intergovernmental relations, Nitrogen dioxide, Ozone.

Authority: 42 U.S.C. 7401-7671q.

Dated: September 30, 1996.

W. Michael McCabe,

Regional Administrator, Region III.

[FR Doc. 96-25894 Filed 10-9-96; 8:45 am]

BILLING CODE 6560-50-P